SM Energy Company Investor Presentation — July 2021

Document content

SM-ENERGY.COM NYSE: SMSECOND QUARTER 2021

FINANCIAL & OPERATING RESULTS

JULY 29, 20212DISCLAIMERS

Forward -looking statements

Non -GAAP financial measures

This presentation references non -GAAP financial measures. Please see the “Non -GAAP Definitions and Reconciliations” section of t he Appendix, which includes definitions of non -GAAP measures used in this presentation and

reconciliations to the most directly comparable GAAP measure.This presentation contains forward -looking statements within the meaning of securities laws. The words “offers,” “indicates,” “p riorities,” “assumes,” “anticipate,” “estimate,” “expect,” “forecast,” “generate,” “guidance,” “implied,”

“maintain,” “plan,” “project,” “objectives,” “outlook,” “sustainable,” “target,” “will” and similar expressions are intended toidentify forward -looking statements. Forward -looking statements in this presentation include, among other

things, capital expenditure guidance for 2021, guidance for the full year and third quarter 2021, estimated inventory life, p ossible inventory additions from contingent resources and prospective new intervals, inventory return

estimates, targeted reinvestment rate, average lateral length of wells planned to be drilled in 2021, well costs per lateral foot, expected future condensate realizations and transportation costs, and the number of wells the Company

plans to drill and complete in 2021; the Company’s 2021 goals, including: generating free cash flow, reducing leverage, incre asing inventory and inventory value, meeting safety and emissions targets, and ESG performance. These

statements involve known and unknown risks, which may cause SM Energy's actual results to differ materially from results expr essed or implied by the forward -looking statements. Future results may be impacted by the risks

discussed in the Risk Factors section of SM Energy's most recent Annual Report on Form 10 -K, as such risk factors may be updated from time to time in the Company's other periodic reports filed with the Securities and Exchange

Commission (SEC), specifically the most recent Form 10 -Q. The forward -looking statements contained herein speak as of the date of this presentation. Although SM Energy may from time to time voluntarily update its prior

forward -looking statements, it disclaims any commitment to do so, except as required by applicable securities laws.3SECOND QUARTER PERFORMANCE PUTS US AHEAD OF SCHEDULE IN MEETING PRIORITIESFIVE YEAR PLAN –KEY PRIORITIES

Key Priorities: Progress:

Free cash flow(1)generation

•2Q21 production ahead of expectations and capital came in lower

than expected, delivering free cash flow neutrality for the quarter